Original author: 1912212.eth, Foresight News
Although Bitcoin has been stuck at the $100,000 mark, funds have obviously flowed into the altcoin market. Data shows that Bitcoin's market share has dropped to 55.25%, while Ethereum has risen to 12.74%, and the ETH/BTC exchange rate has remained stable above 0.037. Other altcoins with smaller market capitalizations have begun their performance moments.
In the public chain sector, ADA rose again by more than 15% today, and the price is around $1.3. The weekly chart has a rare five-day rise, and has achieved a return of more than 400% from the bottom of $0.3. FTM rose by more than 17% today, and the price is around $1.2. AVAX rose by more than 10% today, and the 7-day increase was more than 20%. XRP rose by more than 85% in 7 days, and the current price is $2.7.
The RWA sector ONDO has even set a historical high, currently quoted at $1.65, with a 24-hour increase of over 35% and a 7-day increase of over 64%. In the DeFi sector, LINK rose by 24.49%, MKR increased by 16.08%, and AAVE also recorded an increase of over 11%.
The market is experiencing a pleasant upward trend; what is the reason?
Tether minted an additional 16 billion on the Ethereum and TRON chains
Lookonchain monitoring shows that Tether Treasury minted an additional 1 billion USDT around 6 AM today. Since November 6, Tether Treasury has cumulatively minted 16 billion USDT on the Ethereum and Tron chains.
The market cap of USDC has also risen from $15 billion at the beginning of this month to around $40 billion.
Currently, the total market value of stablecoins has risen above $19.39 billion, setting a new historical high, with a total increase of 2.3% over the past 7 days.
The continuous growth in the market capitalization of stablecoins represents that incremental funds are still entering the market to chase tokens of projects with smaller market values. After the new projects are favored, older projects are also迎来自己的春天.
The shift in U.S. regulatory policy is favorable.
Bitwise CEO Hunter Horsley recently stated, "In the past 30 days, Coinbase's market capitalization has increased by about $30 billion, and XRP's market capitalization has increased by about $100 billion. The shift from regulatory resistance to regulatory support in the U.S. is one of the biggest and most important structural catalysts we have seen in the crypto space. Its impact has only just begun."
Trump is set to officially take office as the next president on January 20 next year, but he has recently been active in personnel arrangements, planning to expand the CFTC's regulatory authority over the crypto market and delineate responsibilities with the SEC. Additionally, according to sources cited by FOX Business reporters, Trump will announce the successor to the SEC chairman tomorrow.
Since SEC Chairman Gary Gensler announced he would step down when Trump takes office, the market is eagerly anticipating the SEC's successor. Although the specific candidate is still unknown, the market generally believes that the next SEC chairman will change from a strict style to a more crypto-friendly attitude.
Attentive market investors have noticed that leading coins like ADA and XRP have also benefited from the shift in U.S. policy and are soaring. Positive news continues to emerge, with WisdomTree submitting an XRP ETF S-1 registration document to the U.S. SEC. ADA has also been listed on Robinhood US alongside XRP and SOL.
As early as November 25, DWF founder Andrei Grachev wrote an analysis stating that the U.S. election has a huge impact on the market, and in the short term, domestic projects and top VCs in the U.S. will be the most profitable.
Inflow of buying power into the Korean market
The frenzy of cryptocurrency trading in Korea was already famous during the last bull market cycle. After recent continuous price increases, buying power in Korea has been continuously flowing in.
On the platforms of South Korea's major cryptocurrency exchanges Upbit and Bithumb, the number of accounts held by users aged 60 and above reached 775,700 (as of the end of September), an increase of 30.4% compared to the end of 2021. This age group holds a total of 67.609 trillion KRW in cryptocurrency assets, with an average investment of about 8.72 million KRW. Meanwhile, the balance of demand deposits at the five largest banks in Korea is 592.67 trillion KRW, a decrease of 26.95 trillion KRW compared to the end of June, marking a new low since January of this year.
In November 2024, CryptoQuant data shows that the total monthly trading volume of stablecoins among Korea's top five CEXs—Upbit, Bithumb, Coinone, Korbit, and GOPAX—is approximately 16.17 trillion KRW ($11.5 billion). This figure includes the total trading volume of stablecoins issued by Circle, such as Tether (USDT) and USDC, and has increased 7 times compared to about 2 trillion KRW recorded at the beginning of the year. This is also the first time that Korea's monthly stablecoin trading volume has exceeded 10 trillion KRW.
The buying frenzy for XRP is incredible. Ryan Kim, a partner at South Korea's largest crypto venture capital firm Hashed, stated on social media that in 2014, Ripple Labs sold XRP in South Korea through the 'Ripple Market Korea' project in a Ponzi scheme manner, attracting a large number of Korean investors. These early investors may have realized substantial returns, leading to a real XRP community in Korea, which is why many Koreans are buying XRP.
CoinGecko data shows that the Korean CEX Upbit had a trading volume of $18.449 billion in the last 24 hours, ranking second among CEXs, while the first-ranked CEX Binance had a trading volume of $50.572 billion yesterday.
The Trump effect, combined with expectations of interest rate cuts, has accelerated the transfer of Korean funds from banks to risk assets.
Summary
Bitcoin spot ETF saw inflows of $6.5 billion in November alone, setting a new historical high and far surpassing any other month this year. Currently, BTC prices are continuously supported by spot ETF buying, with large amounts of funds flowing from Bitcoin and Ethereum into various sectors and both new and old projects. Matrixport analysis indicates that if Trump’s nominations to the Treasury and SEC materialize, the narrative in the crypto market may evolve into a DeFi revival. The crypto market may maintain a trend of oscillating upward until Trump officially takes office.
